We’ve been immersed in efforts to recover following the global pandemic. If anything, the price of Bitcoin, Ethereum and other Altcoins surged in the past few years. The world had barely caught its breath when the conflict in Ukraine began. While the pandemic didn’t have a significant impact on the crypto market, Russia’s invasion of Ukraine had an immediate impact. The Crypto market experienced a steep downward trend as soon as the conflict began. Bitcoin, for example, fell to a low of $35,000. However, the market is now recovering. The value of Bitcoin has risen significantly. At the time of press, Bitcoin had reached the $39,000 mark.
Bitcoin Whales on the Move
The movers and shakers of the crypto industry were making moves during the crypto market dip. Bitcoin ‘whales’ were noted to have made transactions of more than $138,000 AUD and $1.38 million AUD, resulting in a peak in transactions on the platform after the last peak in January.
It is interesting to note that the Bitcoin ‘whales’ in the January peak, made investments despite Bitcoin being on an upward trend. The latest peak shows the whales buying Bitcoin just as the market bottomed out. The market began to recover following the announcement of sanctions against Russia. Bitcoin and other digital currencies have seen a tremendous increase in value in the past week.
The dip in the crypto market was seen as a great buying opportunity by long-term investors in Bitcoin. Those that made investments during the dip will be enjoying their profits in the coming years.
A larger absorption zone
The dip in the market was also a defining moment for Bitcoin. The drop in value to $30,000 showed a substantially greater absorption zone that has been witnessed in the digital currency’s history. Investors were willing to step in and buy when the token was in the $30,000 to $40,000 zone. Demand for the token began to increase and the digital currency’s value is now rising steadily.
What does the future hold?
The crypto market appears to have recovered following the invasion of Ukraine by Russia. Demand for cryptocurrencies is upward as more investors seek to hedge their wealth with the uncertainties that the current world political climate presents.
Analysts do not expect another dip in the market related to the Ukrainian conflict, especially after sanctions are implemented against Russia. In fact, the value of cryptocurrencies is expected to continue rising as more people turn to these digital currencies to invest and transact with. In the past few weeks, the whales’ activity was simply about taking advantage of a dip in the market to make a profit in the long term. Many of these whales aren’t looking to cash in on profits just yet. There is, therefore, hope for the future of Bitcoin and other cryptocurrencies.